State Bank of India (SBI), the country’s largest public sector lender, has announced that it will introduce service charges on online IMPS (Immediate Payment Service) transactions. The decision is part of the bank’s efforts to manage and reduce operational expenses while continuing to offer digital banking services.
Charges to Apply on Online IMPS Transfers
Under the new policy, SBI customers will be charged for IMPS transactions carried out through online channels. While the bank has not yet disclosed the exact fee structure, it has clarified that the charges will vary depending on the transaction amount.
IMPS has been widely used for instant money transfers due to its speed and round-the-clock availability, making it one of the most popular digital payment options among customers.
Why SBI Is Introducing the Fee
According to banking sources, maintaining IMPS infrastructure involves recurring operational and technological costs. By introducing transaction-based charges, SBI aims to offset these expenses while continuing to provide uninterrupted instant transfer services.
The bank believes the move will help sustain the service in the long run without impacting other core banking offerings.
Customer Reactions Remain Mixed
The announcement has received mixed responses from customers. While some users have raised concerns over the additional cost involved in routine digital transactions, others acknowledge that the charges may help the bank recover costs associated with running and maintaining the IMPS platform.
Many customers are now expected to factor in the additional fee while choosing IMPS for online money transfers.
Other Services to Remain Unaffected
SBI has assured customers that charges on other banking services will remain unchanged. The new fee structure will apply only to IMPS transactions conducted through online modes, and not to other payment or transfer facilities.
Impact on Individuals and Businesses
The decision is likely to affect both individual users and businesses, as IMPS is commonly used for daily financial transactions, including small-value and urgent transfers. With charges now applicable, users may explore alternative digital payment options depending on cost and convenience.
Despite concerns, SBI maintains that the move is necessary to ensure the sustainability of instant payment services in an increasingly digital banking environment.